{"operation":"document","citation":"CPF 520075032W","title":"CENEX PIPELINE LLC — Warning Letter","source_type":"enforcement","agency":"Pipeline and Hazardous Materials Safety Administration","status":"historical","official":true,"published_on":"2007-11-07","effective_on":null,"summary":"CLOSED warning letter citing 195.116(e), 195.214(b), 195.402(c)(13), 195.402(d)(5), 195.403(b), 195.403(c), 195.505, 195.573(a)(1), 195.583(c).","machine_formats":{"json":"https://regulus.evalyn.ai/document/phmsa-enforcement-520075032w.json","markdown":"https://regulus.evalyn.ai/document/phmsa-enforcement-520075032w.md"},"app_url":"https://regulus.evalyn.ai/document/phmsa-enforcement-520075032w","source_url":"https://primis.phmsa.dot.gov/enforcement-data/case/520075032W","body":"Warning Letter involving CENEX PIPELINE LLC. PHMSA's enforcement data identifies the cited regulations as 195.116(e),  195.214(b),  195.402(c)(13),  195.402(d)(5),  195.403(b),  195.403(c),  195.505,  195.573(a)(1),  195.583(c). The case was opened on 2007-11-07 and is reported as closed as of 2007-11-07. Open the official case record for notices, responses, orders, and the latest status.\n\nOfficial case documents:\n\n520075032W_Warning Letter_11072007.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520075032W/520075032W_Warning%20Letter_11072007.pdf\n\n520075032W_Warning Letter_11072007_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520075032W/520075032W_Warning%20Letter_11072007_text.pdf\n\n520075032W_Warning Letter_11072007_text.pdf\n\nWARNING LETTER\nCERTIFIED MAIL - RETURN RECEIPT REQUESTED\nNovember 7, 2007\nMr. Dan Knepper\nVP, Energy Operations\nCenex Pipeline, Inc.\n803 Highway 212 South\nLaurel, MT 59044\nCPF 5-2007-5032W\nDear Mr. Knepper:\nOn April 2 through April 5, 2007, a representative of the Pipeline and Hazardous Materials\nSafety Administration (PHMSA), pursuant to Chapter 601 of 49 United States Code, inspected\nyour Cenex Products Pipeline in Montana.\nAs a result of the inspection, it appears that you have committed probable violations of the\nPipeline Safety Regulations, Title 49, Code of Federal Regulations. The items inspected and the\nprobable violations are:\n1. §195.116 Valves.\nEach valve installed in a pipeline system must comply with the following:\n(e) Each valve other than a check valve must be equipped with a means for clearly\nindicating the position of the valve (open, closed, etc.).\nThe upstream station valves for both the Rosebud and the Glendive stations are not\nequipped with a means to clearly indicate the position of the valve. The Rosebud station\nvalve was installed after 1970 and therefore is required to be equipped with a means for\nclearly indicating the position of the valve.\n\n\n\n2. §195.214 Welding procedures.\n(b) Each welding procedure must be recorded in detail, including the results of the\nqualifying tests. This record must be retained and followed whenever the procedure\nis used.\nThe qualification for Cenex’s in-service welding procedure does not have documentation\nof the macro tests required under Section 2.4.4 of Appendix B of API 1104.\n3. §195.402 Procedural manual for operations, maintenance, and emergencies.\nc) Maintenance and normal operations. The manual required by paragraph (a) of\nthis section must include procedures for the following to provide safety during\nmaintenance and normal operations:\n(13) Periodically reviewing the work done by operator to determine the\neffectiveness of the procedures used in normal operation and maintenance and\ntaking corrective action where deficiencies are found.\nCHS has a procedure for reviewing work done by personnel to evaluate the effectiveness\nof normal operations and maintenance procedures but there is no documentation of any\nreviews.\n4. §195.403 Emergency Response Training.\n(b) At the intervals not exceeding 15 months, but at least once each calendar year,\neach operator shall:\n(1) Review with personnel their performance in meeting the objectives of the\nemergency response training program set forth in paragraph (a) of this section; and\n(2) Make appropriate changes to the emergency response training program as\nnecessary to ensure that it is effective.\nCHS has a procedure for reviewing emergency personnel training to see if personnel have\nmet emergency response training requirements but there is no documentation any\nreviews.\n5. §195.402 Procedural manual for operations, maintenance, and emergencies.\n(d) Abnormal operation. The manual required by paragraph (a) of this section\nmust include procedures for the following to provide safety when operating design\nlimits have been exceeded;\n(5) Periodically reviewing the response of operator personnel to determine the\neffectiveness of the procedures controlling abnormal operation and taking\ncorrective action where deficiencies are found.\nCHS has a procedure for reviewing work done by personnel to evaluate the effectiveness\nof abnormal operation procedures but there is no documentation of any reviews being\nconducted.\n2\n\n\n\n6. §195.403 Emergency Response Training.\n(c) Each operator shall require and verify that its supervisors maintain a thorough\nknowledge of that portion of the emergency response procedures established under\n195.402 for which they are responsible to ensure compliance.\nThere is no formal documentation of supervisor emergency response procedure\nverifications.\n7. §195.573 What must I do to monitor external corrosion control?\n(a) Protected pipelines. You must do the following to determine whether cathodic\nprotection required by this subpart complies with Sec. 195.571:\n(1) Conduct tests on the protected pipeline at least once each calendar year, but\nwith intervals not exceeding 15 months. However, if tests at those intervals are\nimpractical for separately protected short sections of bare or ineffectively coated\npipelines, testing may be done at least once every 3 calendar years, but with\nintervals not exceeding 39 months.\nThere is no documentation why test stations that were read during the 2004/2005 survey\nwere not read during the 2006 survey.\n8. §195.583 What must I do to monitor atmospheric corrosion control?\n(c) If you find atmospheric corrosion during an inspection, you must provide\nprotection against the corrosion as required by Sec. 195.581.\nDocumentation shows that Cenex has completed atmospheric corrosion inspections but\nthere is no documentation showing the follow-up resulting from these inspections.\n9. §195.505 Qualification program.\nEach operator shall have and follow a written qualification program. The program\nshall include provisions to:\n(a) Identify covered tasks;\n(b) Ensure through evaluation that individuals performing covered tasks are\nqualified;\nDuring this inspection the covered task for inspection and repair of powered valve\nactuators was observed being done by a Cenex qualified individual. Because of\noperational constraints the covered task could only be simulated. When the “qualified”\nindividual stepped through the checklist for “Inspect and Repair Electro-mechanical\nActuators” it became apparent that though the individual knew how to test the valve to\nensure it was functioning correctly, the individual did not have the confidence to\ncomplete the electrical tests and repairs as shown on the checklist for the covered task,\n“Inspect and Repair Electro-Mechanical Actuator”\n.\n3\n\n\n\nUnder 49 United States Code, § 60122, you are subject to a civil penalty not to exceed $100,000\nfor each violation for each day the violation persists up to a maximum of $1,000,000 for any\nrelated series of violations. We have reviewed the circumstances and supporting documents\ninvolved in this case, and have decided not to conduct additional enforcement action or penalty\nassessment proceedings at this time. We advise you to correct the items identified in this letter.\nFailure to do so will result in Cenex being subject to additional enforcement action.\nNo reply to this letter is required. If you choose to reply, in your correspondence please refer to\nCPF 5-2007-5032W. Be advised that all material you submit in response to this enforcement\naction is subject to being made publicly available. If you believe that any portion of your\nresponsive material qualifies for confidential treatment under 5 U.S.C. 552(b), along with the\ncomplete original document you must provide a second copy of the document with the portions\nyou believe qualify for confidential treatment redacted and an explanation of why you believe\nthe redacted information qualifies for confidential treatment under 5 U.S.C. 552(b).\nSincerely,\nChris Hoidal\nDirector, Western Region\nPipeline and Hazardous Materials Safety Administration\ncc: PHP-60 Compliance Registry\nPHP-500 G. Davis (#118877 & 119331)\n4","truncated":false,"body_characters":7939}